13-JUL-1993 12:32
DEL (UK)
3
33 1 45249837 P.07
However,
the official position unchanged: by the end of 1996,
the government
on this
issue is still
strong and the Korean notwithstanding They confirmed
The support for the Informal Dialogue is authorities understand the need for continued participation their rapidly expanding presence in more formal activities. their readiness to host next year's workshop on taxation.
Hong Kong
In Hong Kong I met Mr. Chau, Secretary for Trade and Industry. He said that Hong Kong is considering the possibility of applying for observer status in the Trade Committee. As you know, Hong Kong is a major actor in this field: including the re-exports of substantial imports, Hong Kong was the eleventh largest exporter in 1990. I indicated that this is a matter to be decided by Member countries. Mr. Joseph Wong, the Fermanent Representative of Hong Kong to GATT visited the Secretariat on Wednesday this week and we explained that while, in our view, there are no legal obstacles to Hong Kong's participation,
an observer, in the Trade Committee, we need to explore this possibility with our Member governments.
as
as a
As you know, in recent years, much of the dynamism of Hong Kong was fuelled by the spectacular growth of the neighbouring provinces of China. Large amounts of manufacturing capacity, particularly labour intensive industries, have been shifted from Hong Kong to Guangdong where the costs are much lower. In addition, foreign direct investment from Hong Kong is now increasingly targeting China's domestic market which has been expanding result of rapid income growth. And China has become the largest foreign investor in Hong Kong. The two economies are already strongly integrated. Officials dealing with political relations with China told us that OECD should be more open to relations with China. On the whole, despite some political difficulties, they seemed to be rather optimistic about the future of negotiations with China.
Thailand
The Thais are now perfectly comfortable with the Dialogue and they find it useful. One indication of this development is that they hosted last year's workshop on foreign direct investment and might be interested in doing so again in the future. Another significant indication was that during this mission we met Dr. Surin Pitsuwan, Acting Minister of Foreign Affairs. He was well briefed about the Dialogue and strongly supportive, underlining that Thailand could learn a lot from the OECD.
Malaysia
AS you know, Malaysia is interested in participating in the Dialogue but is not sending government officials. The Institute for Strategic and International Studies (ISIS) is acting as the contact point and organiser of Malaysian participation in the Dialogue.
But Malaysian officials several of them have like to attend the workshops.
affairs
much
are increasingly unhappy with again clearly indicated that In fact, Tan Sri Zainal,
this state of they would very the Chairman of